As shown in Figure 7-4, for income to be unchanged when there is an autonomous decline in investment, the interest rate would have to
a. rise to r0.
b. fall to r2.
c. remain constant at r1.
d. None of the above
B
Economics
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The use of seat belts and other automobile safety features making bicycling more hazardous can be explained by the economic concept known as
A) the principle of diminishing returns. B) the principle of voluntary exchange. C) the real-nominal principle. D) the marginal principle.
Economics
What is the marginal technical rate of substitution?
What will be an ideal response?
Economics